Bitcoin is attempting to break through the recent high of $69,500, a level not seen since July. However, this bullish momentum did not last long. Bitcoin fell, finding support around $65,000 and is now hovering, waiting for an opportunity.

This market behavior is triggering a bull market and preparing for larger fluctuations, especially with institutions increasing their shareholdings. Last week saw strong ETF inflows, amounting to $0.9977 billion. This marks the third consecutive week of net inflows.

As Bitcoin's dominance soars, it is squeezing altcoins and shaking major currency pairs, especially the performance of Ethereum against Bitcoin.

Ethereum has performed poorly this week, with ETH/BTC falling below the critical 0.03850 level.ResistanceDropping further by 5.85%, it hit a new low of 0.03625.

To make matters worse, following reports that the U.S. government may investigate the company, the largest stablecoin in circulation, Tether (USDT), experienced a sharp drop.

It plummeted to a low of 0.9965, then rebounded to the range of 0.9980. Tether's Chief Executive Officer, Paolo Ardoino, believes these accusations are baseless.

Ardoino's remarks are not enough to calm the market's concerns because this is not the first time Tether has been scrutinized this month. Overseas, geopolitical tensions have increased uncertainty. In the Middle East, Israel launched retaliatory airstrikes on Iran about three weeks ago following a missile attack.

These events further depressed the market. The US stock market also took a hit, with the Dow Jones Industrial Average and the S&P 500 index both declining; the S&P 500 fell by 0.61% and 0.03% respectively. Amid the turmoil, Bitcoin briefly fell to $65,500.

Meanwhile, Short-Term Holders (STH) of Bitcoin are showing confidence in price growth. STH indicators are particularly useful for analyzing the behavior of investors holding Bitcoin for less than 155 days.

At this point, the market adjustment phase shows STH slightly above their entry point, indicating that they are making modest gains but primarily aiming for greater upside potential.

Historically, the average exit peak for profit-taking by STH is 1.23, with the current level hovering around 1, implying recent buyers have gained about 1% in profits.

The remaining minority of sellers are either at breakeven or have very low ROI, which only reinforces the trend of holding through these minor adjustments. On-chain data shows that only 2.3% of STH are in a loss position;

Next week'snon-farm payroll dataIt is a key focus right now as it may affect the next steps of the Federal Reserve. The market's bet on a 25 basis point rate cut in November has reached 95.1%, almost certain.

This may make institutional investors bullish on bitcoin and could lead to another wave of inflow of funds, as bitcoin continues to be attractive against the weak US dollar.

Meanwhile, long-term ethereum holders are still accumulating. These individuals show no signs of panic, as data shows that even during the bearish phase of 2020, they continued to buy and hold ETH, disregarding short-term price movements.